LG Chem is starting production for new anode materials that can increase travel distances of electric vehicles (EV).
These new anode materials will likely replace its current mainstay NCM622 (nickel, cobalt and manganese in 6 to 2 to 2 ratio) in the next couple of years.
LG Chem has begun supplying Volkswagen and Renault with new batteries made in its factory in Poland that uses NCM711 anode materials, people familiar with the matter told TheElec on Monday.
These batteries will be used in Volkswagen’s ID.4 and Renault’s new ZOE EV.
LG Chem has been supplying Tesla’s Shanghai Gigafactory with NCM811-based batteries made in its Nanjing factory, since the second half of 2019. The batteries are for Model 3.
LG is also expected to begin production of NCMA (nickel, cobalt, manganese and aluminum) anode materials that will be applied to General Motor’s pick-up trucks, starting next year.
The South Korean battery giant is securing NCM622/811 from Posco Chemical and NCMA from Posco Chemical and L&F. It is self-supplying NCM712.
LG Chem has so far used mostly NCM622 for EV batteries. Before this, it was NCM111. For NCM523, it used it for energy storage systems (ESS).
The company began NCM111 production in 2010 and NCM622 in 2017.
LG Chem is expected to make differently shaped batteries for each high-nickel anode material batteries. NCM811 will be used for circular batteries and NCM712 and NCMA will be made in pouch-type.
Anode materials account for 40% of a battery’s production cost. More batteries are being made with high amounts of nickel.